Legislators Say Federal Health Reform Efforts Trample States` Rights

WASHINGTON--(Business Wire)--
Federal efforts to establish a Medicare-modeled "public plan" and a national
health insurance exchange would trample states` rights and lead Americans down
the road to single-payer health care, said the American Legislative Exchange
Council (ALEC), a nonpartisan organization of 1,800 state legislators
nationwide.

ALEC`s lawmakers approved the Resolution on Preserving States` Rights Regarding
Federal Health Insurance Exchanges and a Public Plan, which deems the public
plan anti-competitive and calls the proposed national health insurance exchange
a "federal takeover" of the states` role in regulating health insurance.

"The government will never compete unless it can change the rules to win," says
Iowa Representative Linda Upmeyer, minority whip, family nurse practitioner, and
chair of ALEC`s Health and Human Services Task Force. "It`s an unlevel playing
field when a public plan can shift costs to our state`s private insurers because
of low doctor and hospital reimbursement rates, and then raid the federal
Treasury for unlimited subsidies," she added.

"The real goal of national health insurance exchange isn`t competition-it`s a
federal power grab that flies in the face of the Tenth Amendment," says
Wisconsin Representative Leah Vukmir, ranking member of the House Committee on
Health and Health Care Reform, pediatric nurse practitioner, and ALEC member.
"Legislators don`t want a bloated federal health insurance bureaucracy that
duplicates the regulatory functions currently performed by states. And our
constituents don`t want the feds to run health care like a public utility," she
added.

"The public plan and national health insurance exchange will squeeze out private
insurance and put us on the road to single-payer health care," said Georgia
Senator Judson Hill, member of the Senate Health and Human Services Committee
and ALEC member. "Political pressure to keep premiums low and benefits high will
result in millions dropping their private coverage and getting on the federal
health care dole. Having the public plan now will mean socialized medicine
later," he added.

To contact Iowa Representative Linda Upmeyer, Wisconsin Representative Leah
Vukmir, or Georgia Senator Judson Hill, contact Jorge Amselle at (202) 742-8536.

The American Legislative Exchange Council (ALEC) is the nation's largest
nonpartisan, individual membership organization of state legislators.

American Legislative Exchange Council (ALEC)
Jorge Amselle, 202-742-8536
jamselle@alec.org

Copyright Business Wire 2009